Charles Schwab Active Trader Pulse Survey
Charles Schwab surveyed active traders in August 2020 to get a pulse on their thoughts on the U.S. equities market during the COVID-19 crisis.
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How traders describe their outlook for the U.S. equities market for the next 3 months:
Traders have grown slightly more bullish on the equities market over the summer.
In April 2020, only 26% of traders were bullish on the markets looking ahead three months. Now, more traders are bullish or neutral than bearish about the coming three months.
Will volatility increase in Q4 2020 compared to Q2-Q3 2020? Traders believe yes:
Despite record volatility in the first half of 2020, traders actually believe volatility will increase in Q4 2020.
Traders expect the following sectors will experience the most volatility for the rest of 2020:
With increased volatility expected, traders believe four sectors in particular will be impacted during the rest of 2020.
Active Traders plan to trade about the same amount in the next 6 months:
Even with the recent uncertainty, traders continue to indicate they are staying in the market, in contrast to previous economic downturns.
Traders were mixed on how much the coronavirus pandemic influenced their trading activity in Q1-Q2:
Reflecting back on Q1 and Q2, traders were mixed on how the coronavirus pandemic influenced their trading frequency.
Traders see a disconnect between the broader economy and the stock market:
Almost two-thirds of traders believe there is a disconnect between the market and the economy. Of those seeing the disconnect, most of them are concerned about it.
Logica Research surveyed 500 Active Traders using a third-party online panel. Participants were screened to ensure they live in the U.S., were between the ages of 18-75 and made 36 or more equity trades per year. The dates of interviewing were from August 11 – 17, 2020.